islamic economics

Presented to:MADAM MOMINA SALEEM

Presented by:SAIMA ZIA

Sources of Islamic

economics

A man is supposed to live his life according to Allah’s commands.Being a Muslim, we should spend our economic life according to rules and principles set in Islam.Islamic economics is the study which guides us about these rules.

The sources of Islamic economics are as follows:i. The book of Allah i.e. the Holy Quran.ii. The Sunnah of Allah’s Apostle (P.B.U.H).iii. Ijtihad:o The need for ijtihad.o Forms of ijtihad:• Ijma.• Qiyas.iv. Usage or custom.v. Expedience.

The sources of Islamic economics are as follows:i. The book of Allah i.e. the Holy Quran.ii. The Sunnah of Allah’s Apostle (P.B.U.H).iii. Ijtihad:o The need for ijtihad.o Forms of ijtihad:• Ijma.• Qiyas.iv. Usage or custom.v. Expedience.

i. The book of Allah i.e. the Holy Quran:

The first source contains every information needed, it provides guidance from and for every aspect and time whenever required under any condition.

i. The book of Allah i.e. the Holy Quran:

The basic guiding principles are:• Permission to use lawful things and

prohibition of unlawful things.• Moderate spending.• Condemnation of stinginess.• All transactions must be put into writing.

i. The book of Allah i.e. the Holy Quran:

• Proscription of usury and gambling.• Trade with mutual consent.• Injunction to promote circulation of wealth.• Obligation to pay Zakat ( poor. due.)• The law of inheritance and several other

rules and regulations concerning economic conducts.

i. The book of Allah i.e. the Holy Quran:

These basic principles are the basic concepts of Islamic economics which cannot be changed or molded under any circumstances.

i. The book of Allah i.e. the Holy Quran:

Many other principles are derived from these basic concepts, for example: usury and gambling.

The sources of Islamic economics are as follows: The book of Allah i.e. the Holy Quran.ii. The Sunnah of Allah’s Apostle (P.B.U.H).iii. Ijtihad:o The need for ijtihad.o Forms of ijtihad:• Ijma.• Qiyas.iv. Usage or custom.v. Expedience.

ii. The Sunnah of Allah’s Apostle (P.B.U.H):

The Sunnah includes the statements and actions or even silence concerning certain things of the Holy Prophet (P.B.U.H.).

ii. The Sunnah of Allah’s Apostle (P.B.U.H):

The Sunnah does not form an independent or separate entity from the Quran. It is in fact, interpretation and an extension of the Holy Quran.

[Al-Hashr-59:7]“Take whatever the messenger gives you,

and refrain from whatever he forbids you.”

ii. The Sunnah of Allah’s Apostle (P.B.U.H):

The actions performed by the Holy Prophet (P.B.U.H.) have been practiced and transmitted over the generations so that the Muslim Ummah is guided properly.

ii. The Sunnah of Allah’s Apostle (P.B.U.H):

Sihah-i-Sitta:The Sahih

MuslimIbne MajaTirmidhiNasaiAbu Dawud

ii. The Sunnah of Allah’s Apostle (P.B.U.H):

However, the Sunnah is actually preserved in the actions of Muslims.The valuable record of Sunnah contains guidelines on all aspects of economic life, e.g. ownership, means of production etc.

The sources of Islamic economics are as follows: The book of Allah i.e. the Holy Quran. ii. The Sunnah of Allah’s Apostle

(P.B.U.H).iii. Ijtihad:o The need for ijtihad.o Forms of ijtihad:• Ijma.• Qiyas.iv. Usage or custom.v. Expedience.

iii. Ijtihad:

To strive to the utmostDiscover from the hints or implications of Allah’s Book or the Sunnah.The need of ijtihad arises in those matters in which direct guidance is not available in the Quran or Sunnah.

iii. Ijtihad:Ijtihad is a huge responsibility for which everyone is not capable of.Eligibility criteria:• Advanced proficiency in the knowledge

of the Quran and the Sunnah.• Ability to grasp the core of the problem

in hand and to understand it in its right perspective.

• High degree of integrity and piety and impeccable morality and character.

The sources of Islamic economics are as follows: The book of Allah i.e. the Holy Quran. ii. The Sunnah of Allah’s Apostle

(P.B.U.H).iii. Ijtihad:o The need for ijtihad.o Forms of ijtihad:• Ijma.• Qiyas.iv. Usage or custom.v. Expedience.

o The need for ijtihad:

Due to cultural change, ijtihad is needed which has created flexibility in Islamic sharia.Modern life needs Islamic guidance and ijtihad provides it.

The sources of Islamic economics are as follows: The book of Allah i.e. the Holy Quran. ii. The Sunnah of Allah’s Apostle

(P.B.U.H).iii. Ijtihad: The need for ijtihad.o Forms of ijtihad:• Ijma.• Qiyas.iv. Usage or custom.v. Expedience.

o Forms of ijtihad:• Ijma:

Ijma means the agreement of Mujtihad of Ummah on an issue requiring the exercise of ijtihad.

The sources of Islamic economics are as follows: The book of Allah i.e. the Holy Quran. ii. The Sunnah of Allah’s Apostle

(P.B.U.H).iii. Ijtihad: The need for ijtihad.o Forms of ijtihad: Ijma.• Qiyas.iv. Usage or custom.v. Expedience.

o Forms of ijtihad:• Qiyas (analogy):

Qiyas is the process in which Mujtihad extends sharia where there is no such guidance from sharia (similarity of cases).Deep insight is needed.

The sources of Islamic economics are as follows: The book of Allah i.e. the Holy Quran. ii. The Sunnah of Allah’s Apostle

(P.B.U.H). iii. Ijtihad: .The need for ijtihad. .Forms of ijtihad: ..Ijma. ..Qiyas.iv. Usage or custom.v. Expedience.

iv. Usage or custom:

It denotes custom or usage in a society:• Which is consistent with good sense

and reason.• Which is just and equitable.• Which is current and popular among

decent people of the community.e.g. responsibility of father.Culture will be helpful.

The sources of Islamic economics are as follows: The book of Allah i.e. the Holy Quran. ii. The Sunnah of Allah’s Apostle

(P.B.U.H). iii. Ijtihad: .The need for ijtihad. .Forms of ijtihad: ..Ijma. ..Qiyas. iv. Usage or custom.v. Expedience.

v. Expedience:

Means what is good and beneficial for the Muslims.The scholars are given free hand to adopt what is beneficial for Muslims where there are no such rules and laws set by Quran and Sunnah.

v. Expedience:

But nothing should be done that is offensive to Quran and Sunnah.“Masalah-Marsala” or Istihsan” is also used for expediency.Due to changing economic environment it is important for Islamic scholars to keep in view the welfare of the community while devising policies for taxation, import-export etc.

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